×

Kihei firm pays $84K in back overtime

‘Clerical error’ is blamed for federal wage violations

Piilani Gardens LLC will pay $84,136 in overtime back wages to 22 employees who performed maintenance and landscaping on Maui in what a company representative called a “clerical error” on Friday.

“It was a clerical error made by a third-party management office,” said a company representative, who declined to provide her name. “As soon as we found out, we fixed it immediately.

“We’re a very fine company, and we love our employees,” she said.

The U.S. Department of Labor Wage and Hour Division reported that the payment to employees was the result of an investigation into federal overtime pay and record-keeping violations of the Fair Labor Standards Act.

Investigators determined that Piilani Gardens, doing business as Piilani Gardens Apartments in Kihei, paid employees who reside at the complex straight-time rates when they worked overtime, rather than paying time and a half for those hours as required by law, the division reported.

Also, the employer exceeded legal limits to a credit it claimed toward its payroll obligations for providing housing to employees, it said.

“The resolution of this case protects workers and helps level the playing field so that employers that follow the rules do not face unfair competition,” said Division District Director Terence Trotter in Honolulu. “We urge all employers to use the many tools our agency offers to avoid violations and to comply with the law.”

The Piilani Gardens representative said the company provided a check for the back wages to the Department of Labor.

Workers with questions about the fair labor law or any federal wage laws should call (866) 487-9243. All calls are confidential. Information also is available at www.dol.gov/whd.

NEWSLETTER

Today's breaking news and more in your inbox

I'm interested in (please check all that apply)
Are you a paying subscriber to the newspaper?
     
Support Local Journalism on Maui

Only $99/year

Subscribe Today